The Central Bank of Nigeria’s (CBN) decision to lend about N21 trillion to the federal government is more to blame for the spiralling inflation than the amount of cash outside the banking sector, according to analysts polled by BusinessDay.
In his nationwide broadcast to Nigerians concerning the new naira crisis, President Muhammadu Buhari said last week that in 2015 when his administration commenced its first term, currency-in-circulation was only N1.4 trillion, while the proportion of currency outside banks grew from 78 per cent in 2015 to 85 per cent in 2022.
